Sprint is “Going the Distance” Giving away 10 Epic 4G handsets

To promote Sprint‘s second 4G Smartphone, they have teamed up with Warner Brothers Entertainment and decided to give away a Samsung Galaxy S Epic 4G handset to 10 lucky winners. Entry into the contest is simple. Follow the link provided and enter your information. 10 winners will be selected to win an Epic 4G handset while 1 grand prize winner will receive a 4 day, 3 night getaway for them and a guest to the destination of their choice and $1000 spending money. Now get over there and enter to win an Epic 4G!

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The official rules state: Because the Samsung Epic™ 4G phone is not currently for sale to the public, the final retail value has not been determined. First Place Prize winners will be provided with an ARV upon delivery of the device.

The way I read this, you will be on notice with the IRS for the full retail value of your prize. Since this is a phone without a price plan, I read this as the price for an unlocked phone. So, that means that your ARV will be 400 to 600. You’ll owe the tax man, say around 28% of that. This means this free phone will cost you between 112 to 168 dollars.

kobuu

ok..so you’re actually complaining about spending 28% of the value of the top phone coming out this year for Sprint?? I mean, it’s the ONLY other 4G device on the market and you have to shell out just under $200. so what. Even with an early upgrade eligibility you’d have to pay more than that. Quit whining. If you’re not participating, stand back and let others achieve greatness.

Michael

No, I’m saying that you can probably get it for $199 with a contract. I like the phone and I like the carrier, but unless they ‘value’ this giveaway at the contract price of 199 the giveaway isn’t worth much.

Davest

Actually, if the past pattern holds, you’ll be able to get it for about $100 with contract from third parties like Wirefly (I got my Moto Droid on release day for $99.) So yes…you have a very good point about the tax issue…this “free” phone will probably cost a “winner” who is either changing to Sprint or eligible for an upgrade more than they’d otherwise have to pay.

AdamZ

You have to be a Sprint customer by August 3rd to enter in the contest…

– AdamZ

Davest

Hmmm…I see that now. Isn’t it illegal to require a purchase (in this case, purchasing Sprint’s wireless service) in order to enter a sweepstakes?